As I have explained in prior posts, the creation of ‘modern executive compensation’ has proven catastrophic, principally because of its perverse effects on CEO behavior. Modern executive compensation created both a criminogenic environment encouraging CEOs to use their seemingly legitimate firms as ‘weapons’ to defraud and predate on customers and the government, but also created powerful, perverse incentives to run the firm in a manner harmful to its long term viability.

For anybody who still harbors dreams of the benefits of the capitalist system as now practiced in the USA, here is an article for you. I am not accusing capitalism of having an inherent flaw. My main complaint is how it has been perverted by extremist capitalist ideologues.